First and foremost, the first few rules is...
1) never format unless ABSOLUTELY necessary.
Suggested Solution:
If suspect harddisk is infected. Try to use another harddisk to scan the infected harddisk. So you must have another computer/harddisk with operating system installed then update to latest virus defination and then scan the suspected infected harddisk.
2) Error code is 1026 is an issue can occur for any of the following reasons:
You copy or move a file to a disk, delete the file, and then click the Undo Copy or Undo Move command to try to retrieve the file.
Insufficient hard disk space on the computer.
You copy or delete files over a network and the server has problems sending the file because of security issues or network traffic
RESOLUTION
To resolve this issue, follow one of the appropriate methods:
Using the Undo Copy and Undo Move Commands
To resolve this issue, configure Windows to move files you delete to the Recycle Bin. To do this, follow these steps:
Right-click the Recycle Bin, and then click Properties.
If you use one setting for all drives, click to clear the Do not move files to the Recycle Bin. Remove files immediately when deleted check box, and then click OK.
NOTE: If you configure the Recycle Bin to work independently on each drive, click to clear the Do not move files to the Recycle Bin. Remove files immediately when deleted check box on each local disk tab, and then click OK.
IMPORTANT: The Undo Copy and Undo Move commands are available, but do not work with files that you have deleted from a floppy disk.
I got these stuff from Microsoft site by the way.